Seoul: Samsung Group and SK Group have announced a significant investment commitment totaling 896 trillion won (US$578 billion) in South Korea's southwest region, aligning with the government's strategy to foster growth in the artificial intelligence (AI) sector.

According to Yonhap News Agency, the Ministry of Trade, Industry and Resources has pledged support to facilitate the successful execution of these investments. This announcement follows the government's introduction of the tripolar mega projects, which aim to propel technological advancements nationwide and establish South Korea as a formidable player in the AI-driven industrial landscape.

SK Group has detailed plans to invest 470 trillion won in the southwest region, focusing on the construction of two semiconductor fabrication plants and a 1-gigawatt AI data center. Concurrently, Samsung Group has committed 425 trillion won to establish two memory fabrication plants and an AI computing center in the area.

Additionally, Amkor Technology, a global semiconductor back-end company, has pledged an investment of 1 trillion won to expand its packaging facility in Gwangju, a city in the southwest.

To facilitate these investments, the industry ministry has launched the S-WEST Vision, promising assistance in securing essential resources such as sites, water, and electricity, along with institutional and talent support. The ministry emphasized that the investment will reshape the economic landscape not only in the southwest but across the nation, positioning the region as a key hub for semiconductor production and cutting-edge industries alongside the Seoul metropolitan area.

The government has also vowed to provide proactive support to ensure these investment commitments lead to tangible outcomes, reinforcing its dedication to transforming plans into reality.